Boston, MA 06/04/2014 (wallstreetpr) – The Bank of New York Mellon Corporation (NYSE:BK) told the U.S. Securities Exchange Commission (SEC) it expects to suffer after-tax charges amounting to $200 million in 2Q2014 in separate charges. The first charge is related to severance charges where the company expects to incur after-tax charge of $100 million. The company disclosed the severance charges at the UBS Financial Services Conference mid-May.
In the second charge, the company expects to incur $100 million in connection with administrative errors that relate to the funds that BNY Mellon (NYSE:BK) manages. The errors, which were previously disclosed in the regulatory filing, relate tax liability issues in the earnings of the funds.
In a move aimed at peeling back its real estate investment in the lucrative market of Manhattan, BNY Mellon (NYSE:BK) entered a deal last month to sell its headquarters on Wall Street to a joint venture that includes developer Harry Macklowe. The bank reached a $585 million deal for the Art Deco property.
Activist investor Starboard on Monday, June 2, 2014, disclosed 5.6 percent stake in MeadWestvaco Corp. (NYSE:MWV) in a regulatory filing. The disclosure also revealed various recommendations that the investor believes would help the company to create bigger value for the shareholders.
In particular, the investors urged MeadWestvaco to consider streamlining its business structure by selling or separating non-core assets. Starboard also recommended shakeup in MeadWestvaco (NYSE:MWV)’s management. According to Starboard, MeadWestvaco Corp. (NYSE:MWV) is a deeply undervalued business that needs sound management to realize its potential.
Ericsson (ADR) (NASDAQ:ERIC) has won a technology contract from T-Mobile US Inc (NYSE:TMUS). The contract will see Ericsson provide new billing solutions for TMUS with the aim of improving the carrier’s billing process and customer experience. The new billing technology to be rolled out by Ericsson (NASDAQ:ERIC) on behalf of T-Mobile will introduce real-time billing and more benefits in account features. The development comes at a time when T-Mobile US Inc (NYSE:TMUS) recently witnessed surprise growth in its wireless subscriber-base in 1Q2014.
